Draft: Why Waiting for 20% Down Often Costs More Than Buying With a PMI Exit Roadmap

The Myth of the Mandatory 20% Down Payment

Draft placeholder copy — One of the most common myths keeping qualified renters on the sidelines is believing you need 20% down plus closing costs before speaking with a lender. Meanwhile, modest 4%–5% annual home appreciation on an $800,000 home moves the finish line by $32,000–$40,000 per year.

With strong credit, modern conventional PMI is far cheaper than most buyers assume—and unlike permanent rent increases, PMI is temporary.

Building Your Two-Step Homeownership Plan

• Compare 3%–5% Conventional vs. 3.5% FHA upfront so you see both today's payment and how easily mortgage insurance drops off later.
• Preserve post-closing cash reserves for emergencies rather than stretching every last dollar into the down payment.
• Track market rates and home equity post-closing so we can proactively remove PMI or refinance when the break-even math works in your favor.

Your first mortgage is a stepping stone, not a 30-year prison sentence—having a clear Day-1 plan to drop PMI turns low-down-payment financing into a wealth-building tool.